5 investments that will help you get Rich in the long term
Hello there, beautiful people.
After another break from writing, I'm here to share my learnings from the past weeks with you. It is often said that “he who has gold, makes the rules” which holds for most governments in the world today. In the past months, we have seen that a single Elon Musk tweet moving markets. Most rich people like Mark Zuckerberg, Elon Musk, Bill Gates are known to bring huge changes in markets and governments with their influence. Here is a list of five such assets that will help you grow rich if you invest your patience along with your money because true wealth is measured by the number of assets you own.
- Own your Business
Starting a business and running it successfully takes a lot of patience and effort. The success or failure rate is directly proportional to the amount of responsibility, ownership, and hard work you put into your business, once you have started it. By far the richest people in the world are those who willingly took risks and started their own businesses. Jeff Bezos, Mukesh Ambani, Azim Premji, etc are your best examples.
2. Stocks
If you can’t start a business, the next best thing to do is invest in a few shares of the business you like. One of the richest people in the world, Warren Buffet, has made his money largely through investing and is considered as the world’s most successful investor. Long-term investments will help create wealth compared to short-term/intraday trades. Always choose Buy and hold over Buy and sell. Benjamin Graham who is widely considered as the father of value investing said, “In the short run, a market is a voting machine but in the long run it is a weighing machine.”
3. Commodity Bonds
Gold, silver, and oil, etc can be bought and held on paper for a certain maturity period through bonds. The value of commodity-backed bonds is directly proportional to the price of the given underlying commodity i,e the value of the bond increases or decreases as the price of the underlying commodity value increase or decreases. Do your research and understand why paper Gold is more beneficial compared to physical Gold to start investing in commodity bonds.
4. Real Estate
It is often considered a financial mistake to take a house loan early on in life and spend the next 30 years repaying that loan. Instead, you invest in assets that will help you generate the revenue which can be used to buy a house and other real estate assets. When you treat real estate from an investment point of view, you can generate wealth from it. Rent, partnerships, etc are widely regarded as great sources of passive income.
5.Intellectual property:
Youtube Videos, Ebooks, Books, AD Revenue, royalties earned from different art forms, content, webinars, online courses, etc account to Intellectual property. Intellectual property is not time-bound, one cannot expect until when we can generate wealth from these assets.” If you are good at something, never do it for free”, holds true in this case.
So these are the five basic assets that one needs to focus on to inherit the investing habits of the rich. Rich people are known to invest in all of these five assets if not at least one of them. Savings and Investing may come across as old school and uncool these days because we belong to the instant gratification era. But like we all know good things take time, when you invest and focus on the long term, the growth is always exponential.
Much Love,
Pooja
